Marathon Nextgen adds Rs 1,740 crore Mumbai project pipeline

Marathon Nextgen Realty Limited (Marathon Nextgen) added projects in Versova, Sewri and Kanjurmarg with combined estimated gross development value, or GDV, of Rs 1,740 crore in Q2 FY27, extending its Mumbai pipeline; management said the Kanjurmarg project was already operating and contributed profit in both Q1 and Q2 FY27.

What projects has Marathon Nextgen added in Mumbai?

Marathon Nextgen has added three projects, located in Versova, Sewri and Kanjurmarg, with an estimated combined GDV of Rs 1,740 crore. Management presented the additions as part of a selective approach to well-connected Mumbai locations during its November 4, 2026 earnings call for the quarter and half year ended September 30, 2026.

The Versova and Sewri projects together have estimated GDV of about Rs 900 crore and are expected by management to be launched over the next two financial years. The company did not separately disclose the projected GDV, saleable area, acquisition consideration or launch date for either project, so the Rs 1,740 crore figure is the disclosed aggregate for all three additions.

Kanjurmarg differs from the two redevelopment opportunities because the project is already under way. Management said it saw some profit from Kanjurmarg in both the first and second quarters of FY27, providing a current earnings contribution rather than only a future launch opportunity.

When will Marathon Nextgen launch the Versova and Sewri projects?

Marathon Nextgen expects to launch both the Versova and Sewri projects within the next two financial years, subject to the project-development process described by management. No Q2 FY27 launches occurred, and management said launches do not operate on a quarter-by-quarter timetable because land, approvals and project plans must first be completed.

For redevelopment acquisitions, management said its dedicated team had analysed more than 200 projects. The process includes bidding, meetings with housing-society members and the society’s eventual award of a project, making the period from initial evaluation to signed documentation longer than a conventional development acquisition.

After signing, environmental clearance and government approvals typically take eight to 12 months, according to management. It also said plans can continue to change as society members provide input during finalisation, a factor that applies to both Sewri and Versova and means their exact approval and construction schedules were not disclosed.

The new-project timing sits alongside a broader launch plan. Management said it was preparing for a larger set of launches in the next few quarters, with several files in the approval process, while Bhandup projects with GDV of Rs 1,000 crore or more were under consideration for FY28 and FY29.

How does the new pipeline compare with Marathon Nextgen’s other planned launches?

The Rs 1,740 crore pipeline addition is smaller than the development value management outlined for future Monte South launches, but it adds projects in three Mumbai locations beyond the existing portfolio. Management identified the proposed Monte South commercial launch in the next financial year with estimated GDV of Rs 3,400 crore and Tower D, planned for FY29, with estimated GDV of Rs 1,800 crore.

Management also described a proposed acquisition of a 60% stake in Monte South for Rs 335 crore, which would take Marathon Nextgen’s ownership from 40% to 100% on completion. As of November 4, Rs 200 crore had been paid, and management expected completion during that quarter; it said the transaction would permit full revenue consolidation from the next quarter rather than recognition of profit as a minority stakeholder.

Monte South’s remaining scale is materially larger than the new-project additions. Management said the 25 lakh-square-foot project had sold 10 lakh square feet, leaving about 15 lakh square feet, with future sales of about Rs 7,000 crore on a 100% project basis. Tower D and the commercial tower account for about 12 lakh square feet of that unlaunched portfolio.

What is Marathon Nextgen’s current operating context for the expansion?

Marathon Nextgen reported consolidated revenue of Rs 145 crore, earnings before interest, tax, depreciation and amortisation, or EBITDA, of Rs 61 crore, and profit after tax of Rs 45 crore in Q2 FY27. For H1 FY27, revenue was Rs 362 crore, EBITDA was Rs 127 crore and profit after tax was Rs 98 crore.

Operating sales improved sequentially in the existing portfolio during Q2 FY27. Pre-sales rose to Rs 154 crore from Rs 86 crore in Q1 FY27, area sold increased to 71,000 square feet from 38,000 square feet, and collections rose to Rs 127 crore from Rs 118 crore. These figures reflected Marathon Nextgen’s then-40% revenue share in Monte South.

The affordable and mid-income portfolio led the sequential improvement, with bookings of Rs 80 crore in Q2 FY27 compared with Rs 31 crore in Q1 FY27 and area sold of about 51,800 square feet compared with 22,100 square feet. In Bhandup, booking value rose to Rs 41 crore from Rs 15 crore and area sold increased to about 23,600 square feet from about 8,300 square feet.

Management said Marathon Nextgen ended September 2026 with a net debt-free balance sheet and a positive net cash position. It said capital allocation would remain central while pursuing the Monte South acquisition and developing a wider portfolio, but did not disclose the investment amounts or funding structure for the Versova, Sewri and Kanjurmarg projects.

Conclusion

The three additions give Marathon Nextgen Rs 1,740 crore of estimated GDV across Versova, Sewri and Kanjurmarg, broadening a pipeline that also includes Panvel, Bhandup and Monte South. Versova and Sewri remain subject to an acquisition, society-consultation and approval process that management said typically requires eight to 12 months after signing, whereas Kanjurmarg has already contributed profit in FY27.

The next points to watch are approvals and launch progress for Versova and Sewri over the next two financial years, as well as the expected completion of the Monte South stake acquisition during the current quarter. Management also plans to launch Monte South’s commercial component in the next financial year and Tower D in FY29, while the proposed amalgamation remains subject to requisite approvals.